Mortgage valuation 10k less than offer price

LSLDN

“Split the difference” - as in we each lose our by 5k? This would be about as much as I could stretch to but not ideal as need ££ upfront to do repairs

wjchoihk

When I was a first time buyer I caved in too easily yes.

As a repeatable buyer, I still do yes.

But I have luckily always sold houses at profit so far in my life -- total 3 occasions.

Easy to tell others to play hard ball but if you really LOVE the property you MUST go.

Often it is go or no go, not at 390K or 380K that counts eventually.

I guess you could just tell agent of the valuation results and tell I really love this house but now I can only pay 10K less. You don't have to put on a scary face and pretend to be a tough guy. I am sure they will accept it.

davidmcn

LSLDN wrote: »

“Split the difference” - as in we each lose our by 5k? This would be about as much as I could stretch to but not ideal as need ££ upfront to do repairs

My point is more that the difference between £380k and £390k is insignificant in valuation terms, so neither party can really claim that their valuation is "correct". If you really can't afford £390k then fair enough, but otherwise I wouldn't stress about it too much. Obviously, the inverse applies to the seller too...

foxy-stoat

LSLDN wrote: »

“Split the difference” - as in we each lose our by 5k? This would be about as much as I could stretch to but not ideal as need ££ upfront to do repairs

If your spending an extra £5,000 in purchasing the property then you will only actually have to pay from your bank account whatever the percentage deposit will be on the £5,000 - so if your putting down 10% then it will only cost you £500 out of your bank account when you buy it and marginally more ( £1-£2 ) on the monthly repayments.

LSLDN

If your spending an extra £5,000 in purchasing the property then you will only actually have to pay from your bank account whatever the percentage deposit will be on the £5,000 - so if your putting down 10% then it will only cost you £500 out of your bank account when you buy it and marginally more ( £1-£2 ) on the monthly repayments.

Not in my understanding - mortgage is 90% LTV so they will lend max 342. So we’d have to make up the shortfall ourselves

Tom74

If you're keen on the place, I wouldn't rock the boat. You've already got less than the asking price and the survey valuation is still subjective..

LSLDN

You've already got less than the asking price and the survey valuation is still subjective

True, but the asking price is also subjective, surely?
I can afford to meet somewhere in the middle at a push but can’t meet the entire shortfall from current funds

UraharaSteph

All you can really do is go back to the EA and seller and be honest that you wouldn't be able to make up the shortfall and sort out the work that needs doing. You can't make money appear out of thin air; but also start gearing yourself up for if they refuse to renegotiate. I think they would be foolish to give up on this sale this side of Christmas and Brexit on a London property.

Or find a different lender who may value the property higher if someone else does the survey.

LSLDN

So frustrated - I’m still waiting for the vendors to decide.
I spoke to the EA last Friday. They left (or said they left) voicemails and emails for the vendors last week and on Monday but only managed to speak to them on Tuesday. The vendors haven’t come back to EA with anything yet.

I appreciate that I’m probably overly anxious but this seems an unreasonable delay and doesn’t fill me with confidence for the rest of the conveyancing if they are this hard to pin down??!! Is this normal?

lookstraightahead

I would walk away.